Common Misconceptions about Half-Retirement™

by | Jun 11, 2018 | Concepts, Exit Planning, Mindset | 0 comments

Half-Retirement™ is an alternative monetization technique vs. selling a business. The concept is simple. Instead of completely washing your hands of the business, the owner radically decreases their workload to two, half-days a week but keeps the income stream. If you run the economics of holding onto the business vs. selling it, – there is a compelling case to – hold onto it.

We see many business owners latch onto this concept with vigor. This may surprise you (wink, wink), but business owners are not the most patient people in the world. It’s a trait that serves them well being an entrepreneur. However, it can derail their Half-Retirement™.

Half-Retirement™ is a systematic process to move from earning working income in the business to ownership income from the business. Just like you don’t decide to sell a business today and it’s done tomorrow, Half-Retirement™ takes time.

Here are some of the most common misconceptions regarding Half-Retirement™:

  1. I just delegate the work, and I’m Half-Retired™.

We have a saying,

It’s never as simple as delegation,

and it’s not.

We have image for never as simple…

You know what work you need to get rid of to Half-Retire®, and you know how to delegate. If it were that simple, you would have already taken action, right? Read the full article why Half-Retirement™ is more complicated than simply delegating. Read the full article.

  1. Half-Retirement™ is a concept. Got it, I’m Half-Retired™ now.

We are business owners. We are good at dreaming, but we are also good at turning those dreams into reality. Successful Half-Retirees™ are doers, not dreamers. If you want to enjoy the massive financial benefits of Half-Retirement™, it isn’t as simple as flipping a switch. It’s a process -that takes some hard work. It’s no different than any other business initiative you have tackled. Read the full article.

  1. I can start Half-Retiring™ today.

Yes, you can start Half-Retiring™ today, but you won’t BE Half-Retired™ today. Half-Retirement™ is a process. The sooner you start, the sooner you will finish. Here is the good news: The benefits from Half-Retirement™ begin accruing as soon as you begin the work.  If you do a portion of the process, you will see tangible benefits. You can parlay those benefits into even greater benefits, and before you know it, you will be Half-Retired™. Read the full article.

  1. I can’t sell the business if I Half-Retire®.

This is absolutely false. Half-Retirement™ almost always makes a business more sellable, not less, and it also increases the sales price of the business. Here’s why: Many businesses are owner-centric. They are heavily dependent upon the business owner. Any savvy buyer will see this and heavily discount the price or simply not purchase the business, because they see it as one with “too much baggage.” Read the full article.

Half-Retirement™ fixes this. The business moves from an unattractive purchase candidate to an attractive purchase candidate. The ease of sale goes up as well as the price. Any business that can generate profits independent of the efforts of the business owner is much more attractive to a buyer vs. buying a business that is dependent upon the owner for its success.

WordPress Lightbox